Mayor Filner should reach out to ResMed

In California, there is often a striking disconnect between how businesses and our most powerful politicians view the state. For eight years in a row, CEOs around the nation have rated the Golden State as the least business-friendly state because of its high costs, heavy regulations and unresponsive, unhelpful leadership. Yet even with California’s unemployment among the nation’s worst for four years, many elected Democrats scoff at the idea that government holds any responsibility for the struggling economy.

Which brings us to San Diego’s new mayor, progressive Democrat Bob Filner, and the potential departure of one of the biggest local publicly held companies: ResMed Inc., a respected medical-device maker headquartered in Kearny Mesa, which has a stock value of $5.9 billion and 3,685 employees around the world, including 404 in San Diego.

Alarmed by the results of the Nov. 6 election and the passage of state tax increases, and expecting even higher taxes and regulatory burdens, ResMed officials have begun formally exploring a possible move to Texas or to another state or nation. CEO Peter Farrell says it is not a sure thing that ResMed will leave San Diego and its tech hub, but he is deeply frustrated with California’s overall policies and attitudes.

We hope Filner reaches out to Farrell directly, hears him out and tries to persuade him to keep ResMed in San Diego. The mayor has indicated he will be pragmatic and ready to talk to anyone to help his city; here is an opportunity.

And in the bigger picture, San Diego would benefit if Filner had a pro-business unit within his office – specific executives charged with hearing out business gripes, helping firms cut through red tape, and keeping them from leaving. ResMed is hardly the only local company that feels besieged by taxes and regulations.